Harris County will ask the state attorney general to investigate filing a lawsuit against Mortgage Electronic Registration Systems, Inc. over unpaid fees.
County lawyers plan to ask the court for permission to hire outside attorneys to sue MERS over as much as $100 million in unpaid filing fees. The suit, filed on behalf of all counties in Texas, would be similar to one filed last month against MERS by Dallas County. The Dallas suit accused MERS of cheating the county out of tens of millions of dollars in mortgage filing fees.
MERS tracks servicing rights and ownerships interests in mortgage loans on its electronic registry, allowing banks to buy and sell loans without recording transfers to individual counties.
MERS is owned by Reston, Virginia-based Merscorp Inc.
Contributor
